My 1099R for NY has EXEMPT in Box 14. Turbo Tax will only accept a number in this box.

[DoninGA]

If there are no state income taxes withheld in box 14 of the Form 1099-R, then leave boxes 14, 15 and 16 blank (empty)

If this does not correct the problem, then delete the Form 1099-R and re-enter manually.

[SteamTrain]

AND...for NY residents For NY state 1099-R forms with that notation, the exemption is handled in a follow-up question...where eh software asks what the source was for that 1099-R.

Here's a picture of that follow-up page from a prior year  (may have changed somewhat ...but should be similar)

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